Marawi rehab, PPP projects lined up for ADB funding

Three projects focused on public-private partnerships (PPP), financial inclusion and Marawi rehabilitation are in the pipeline for possible funding assistance from the Asian Development Bank (ADB), according to the Department of Finance (DOF).

Finance Assistant Secretary Ma. Edita Tan said the projects are in various stages of the approval process, but two of them may be signed within the year.

Among these is the Expanding Private Participation in Infrastructure Program, which seeks to strengthen the country’s PPP policy to increase investments in infrastructure, particularly by the private sector.

“We have several projects in the pipeline. There’s this program loan for Expanding Private Participation in Infrastructure Program, Subprogram 2. This is actually focusing on reforms for the PPP, regulations, and procedures. That’s about $300 million (in financing assistance),” Tan said.

According to Tan, the project has already been approved by the Development Budget Coordination Committee (DBCC) and is awaiting the issuance of a special presidential authority before the government can negotiate its terms with the ADB.

“This will be signed sometime in July,” Tan said.

Another one in the pipeline for ADB financing is the Inclusive Finance Development Program, which would entail $300 million in assistance from the bank.

The program aims to support government efforts to increase financial inclusion in the country by supporting policy actions under the National Strategy for Financial Inclusion.

“For the Inclusive Finance Development Program, we’ve requested for the DBCC approval. So this may take a while,” Tan said.

She said the government is targeting to have the loan agreement for the project signed by September this year.

Meanwhile, Tan said the ADB has also committed to support the rehabilitation of the war-torn Marawi City.

“They are very much interested in providing assistance for Marawi. So we are looking into that,” she said.

The DOF official said the ADB is eyeing to finance road projects of the Department of Public Works and Highways in Marawi, together with the Japan International Cooperation Agency.

In January this year, the government and the ADB signed a $380 million loan agreement for the Improving Growth Corridors in Mindanao Road Sector Project (IGCMRSP.)

The project involves the construction of 280 kilometers of national primary, secondary and tertiary roads and bridges in the Zamboanga Peninsula and Tawi-Tawi in Mindanao.